HMM stock soars 29.9 pct on possibility of 2M membership

By 안성미

Published : June 23, 2016 - 19:40

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[THE INVESTOR] Hyundai Merchant Marine’s stock closed at 15,400 won (US$13) on June 23, a 29 percent hike from the previous day, on the news that the financially troubled shipping line is on talks to join the world’s largest shipping alliance.

HMM said it is considering to join the 2M Alliance, a vessel-sharing agreement between Denmark’s Maersk Line and Switzerland’s Mediterranean Shipping Company -- the world’s first and second largest container carriers.

Lee Sang-sub/The Investor

Previously, HMM had tried to enter another six-party partnership, The Alliance, consisting of HMM’s local rival Hanjin Shipping, Hapag-Lloyd, K Line, Mitsui O.S.K. Lines, Nippon Yusen Kaisha and Yang Ming. However, Hanjin Shipping and Japan’s K Line were reluctant to accept HMM’s request, local news reported.

According to industry insiders, HMM’s entry will be able to strengthen Asian trade lane of European-based 2M alliance, which had relatively low representation in the region.

By Ahn Sung-mi (sahn@heraldcorp.com)

HMM stock soars 29.9 pct on possibility of 2M membership

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